Investors Whom Are You Making The Offer?

This is part of a book I wrote and  a taste of one real estate investing guide DVDs done by me. I will be republishing the majority of my book on my active rain blog. If you are interest in DVD or Seminar I have done on Real Estate Investing you can go to http://stores.ebay.com/Real-Estate-Investing-Guide

The way you format your offer will depend on to whom you make the offer. When you are working directly with the owner you won't want to make an offer, you will want to try and find his best price and then, if that is not satisfactory, make a counter offer. He who speaks first, loses. At all times avoid giving an owner the price you will pay for a property before he has given you his best price.

You may find over time that some sellers will often negotiate themselves down to a price that will work for you. All of it depends on the motivation of the seller, combined with the competition you’re facing.

There are two advantages of working directly with the seller:

1. It will be easier for you to determine their true motivation for selling.

          2. You can determine the seller’s true bottom line.

When making an offer on a property listed by a real estate company, the seller has already “thrown down the gauntlet”. You know where he is starting on the price, so the only option you have is to go straight in with your starting offer.

Even when making an offer on a listed property, you must try to determine the motivation of the seller. There is no point in making an offer on a property that is for sale simply because the seller is thinking about moving to a larger house in the near future if they can get top dollar for their home.